Characteristics of an entrepreneur

Exactly what is an entrepreneur you say, well the most basic description would be: “An entrepreneur is someone who starts a business with the intention of making a profit and assumes the risk of losing all of his/her resources if the business fails. In simple words, the entrepreneurs reward for taking the risk is profit, and his/her punishment for making the wrong decisions is financial loss.

In order to become successful an entrepreneur should have the following traits.

 Be able to take and manage risk

In the business world, most conditions and variables are not in the entrepreneurs control (new laws, interest rates, currency fluctuations and so on) a successful entrepreneur will find a way to minimize risk and only make calculated risks. Calculated risk is the only difference between a successful entrepreneur and an unsuccessful one, the unsuccessful one makes expensive, impulsive decisions that are not thought out.

Stays motivated

Entrepreneurs could be described as individuals with a higher need to achieve than people who are not entrepreneurs. Their desire to succeed could be seen through their prolonged, intense and repeated efforts to accomplish something that is difficult. An individual who is constantly motivated works single-mindedly towards his/her goals and is driven by the desire to win or succeed.

Has a strong need to be in charge of his/her own destiny

This could also be referred to as a strong internal locus, a persons need to be in charge of their own destiny as opposed to an external locus of control, where a person regards luck and fortune rather than personal ability and hard work. An Individual with a strong need to be in charge of his/her destiny believes that an outcome of an event is determined by his/her own actions and behavior. 

 Is creative and innovative

Entrepreneurs are always looking to identify opportunities and find ways to take advantage of them. Although not all entrepreneurs who have established their businesses create new products or service, they are responsible for ensuring that the venture continues to exist and add value.

There are other traits like confidence, optimism, high levels of energy and commitment. You do not necessarily have to fit the bill perfectly for you to achieve success in the business industry; the main ingredient is for you to have the desire to succeed.